Over the last six years, Hong Kong has gone through a series of excellent establishment. It has shown great signs of growth and development that has shocked the world. The GDP of Hong Kong has also grown massively and because of that the property, employment and the overall outlook of Hong Kong has increased in the eyes of the world.
This maybe a great sign of success but with this it has greatly affected the property, in particular the prices of the property. The land overall prices have risen compared to the previous years. This could be worrying for the general public.
According to a few analysts, they believe that the prices have sky rocketed because of the auction that took place at the former Airport site. This site is soon to be the face of the new resident area. The prices of flats located in the Bloomsway have increased by a grand total of 68% over just two years. This thoroughly indicates that prices are insanely sky rocketing all over Hong Kong. Some believe this insane turn of events is due to the site the flats are going to b built on , the total square ft of the flats and lastly because of the developers. The public is aware that this project is being taken in by Sun Hung Kai who happens to be a great label when it comes to flats. They are not owners to a minor firm but one that has a great turnover and are thirsty for success. It is believed that since the ownership is under Sun Hung Kai, prices are bound to rise. It’s their reputation. This Kai Tak deal is the sole culprit to the revision in the prices of the residential flats. An estimate of twenty three developers have blindly followed Sun Hung Kai’s footsteps and have increased the prices of the units in market or have released new units up for sale. This deal has taken the country by storm. From January to May, the analysts have seen an increase of 8% in the prices of homes that were pre-owned. According to Derek Chan this “surge” has visited Hong Kong for the first time and this surge has increased the vet so rapidly in a quarter of a century. The rating and valuation Department related a report stating that Home prices rose from 3.7 points to a massive 368.4 points in March alone. Analysts have concluded with such a dynamic trend it is solely possible that the prices will continue to rise more than the anticipated 10%. An average 430 square feet house costs around HK16000+ and that is just insane.
Existing new launches in the market